Mining ban: Don't fine loan defaulters, demands GMPF

The people dependent on mining industry today demanded that state and Union government should intervene to stop the banks from attaching properties of loan defaulters, who have become jobless due to ban on the exports of iron ore in Goa.
"As the crisis in the mining industry looms large, the mining workers, truck operators, mining machinery owners, barge operators and other mining dependent people are facing recovery proceedings from the banks and other financial institutions," Goa Mining People's Front (GMPF) convener Suhas Naik told reporters today.
The delegation of GMPF, which had called on Prime Minister Manmohan Singh and Finance Minister P Chidambaram in Delhi last week, also met Goa Chief Minister Manohar Parrikar on May 20-21, listing out their worries.

"The loans are turning into Non Performing Assets due to the 12 months of mining closure. People's residential and other personal assets are being attached by the banks in order to recover the loans advanced to them," Naik said.
People from the mining belt have already begun resorting to extreme steps like suicides, he said.
Prataprao Chandrakant Desai, a truck owner living in Sakhali area, committed suicide probably because he was served notices by the bank, Naik claimed.

The GMPF during its meeting with the Chief Minister requested him to pursue with the Ministry of Finance and Reserve Bank of India to relax or restructure and defer the repayment of loans secured from financial institutions and waive off the interest as well as penalties on borrowings by mining-related stakeholders.

Parrikar had told reporters yesterday that he has sought appointment with the PM to demand financial package of Rs 3,000 crore to the state to look after mining dependent people and also discuss the issue of special status.
GMPF leader Christopher Fonseca said that the Chief Minister was handling too many issues at the same time.
He objected to the state government mixing the issue of special status to Goa with the problems faced by mining dependent people.
"The state and central government should form a joint front to represent the case of mining industry before the Supreme Court," Fonseca said.